Local authorities collected just a quarter of the civil penalties they imposed on private landlords over the past two years, new data reveals. The figures raise serious questions about enforcement capacity as the sector prepares for expanded powers under the Renters Rights Act.
£22.5m in landlord fines uncollected
Research by the National Residential Landlords Association, based on Freedom of Information requests to 285 English councils, shows that between 2023/24 and 2024/25, local authorities imposed almost £30m in civil penalties on private landlords for housing offences. Of this, just £7.5m – around 25 percent – was actually recovered.
During the same period, councils issued nearly 3,700 civil penalties to landlords for breaches of housing regulations. The findings come less than two months before the Renters Rights Act takes effect on 1 May 2026, which will increase the maximum civil penalty from £7,000 to £40,000.
NRLA calls for enforcement overhaul
The NRLA warned that without a major increase in upfront funding for council enforcement teams, rogue and criminal landlords will continue to evade penalties. The association is calling on the government to establish a new Chief Environmental Health Officer role with a national remit to champion better enforcement, undertake a full assessment of local authority enforcement resources, and require councils to publish annual reports on their private rented sector enforcement activity.
Ben Beadle, chief executive of the NRLA, said: “Tenants and the vast majority of responsible landlords will rightly be fed up with our findings. For too long a minority of rogue and criminal operators have been allowed to act with impunity, bringing the sector into disrepute.”
Beadle added: “It is galling then to see that those breaking the law are still failing to pay the price – leaving good landlords to pick up the tab in licensing fees. This also raises serious questions about how ready councils are to enforce the Renters Rights Act, and about the adequacy of the upfront funding provided to them to support enforcement action.”
This follows Landlord Knowledge’s report on the government’s rejection of landlord calls for faster eviction processes and a tenant database, highlighting wider concerns about the support available to compliant landlords while enforcement against bad actors remains weak.
What this means for landlords
- If you hold a licence: The fees you pay are partly funding enforcement that fails to recover most penalties – expect continued pressure to increase licensing charges.
- Watch for: Higher civil penalties from May 2026 – fines will rise to £40,000 maximum, but collection may remain patchy.
- If you compete with rogue operators: Uncollected fines mean bad actors face limited real consequences, potentially undercutting compliant landlords.
- Bottom line: Responsible landlords bear licensing costs while rogues dodge penalties – the funding gap must be addressed.
Editor’s view
The gap between fines issued and fines collected exposes a fundamental weakness in the enforcement system. Councils can issue penalties, but without the resources or legal muscle to pursue payment, the deterrent effect is hollow. If the Renters Rights Act is to mean anything, the government must ensure councils can actually enforce it – not just announce bigger fines that rogue landlords continue to ignore.
Author: Editorial Team – UK landlord & buy-to-let news, policy, and finance
Published: 6 March 2026
Sources: NRLA
Related reading: Councils face double jeopardy claims over licensing penalties
